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Its a Big Gamble Gixxerfrog . Zimbabwe stopped using their highly inflated currency and drew a large portion of it in two summers ago .They currently have a major cash shortage with lawsuits and protests against the coming bond notes. The question is will they recognize this inflated currency once again while introducing the new bond notes to be released in October . And whether or not they still decide to do this ???

Robert Mugabe To Introduce A New Zimbabwe Currency To Be Backed By A Gold

President Robert Mugabe’s administration, is reportedly sittings on wads of a new Zimbabwe currency to be backed by a gold standard, which can be issued at a moment’s notice as a home grown panacea to manage a dwindling economy, The Telescope News, has been told.ommunityvoiceradio.com/robert-mugabe-to-introduce-a-new-zimbabwe-currency-to-be-backed-by-a-gold/

I myself went ahead and purchased some . I figure if nothing happens to the zim yet the Dinar is Super Abundantly Prosperous . Who cares ? But these past gold backing articles plus China's deep investments make it awfully compelling . Hope this helps some Gixxer .

Edited September 28, 2016 by blueskyline

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Its a Big Gamble Gixxerfrog . Zimbabwe stopped using their highly inflated currency and drew a large portion of it in two summers ago .They currently have a major cash shortage with lawsuits and protests against the coming bond notes. The question is will they recognize this inflated currency once again while introducing the new bond notes to be released in October . And whether or not they still decide to do this ???

Robert Mugabe To Introduce A New Zimbabwe Currency To Be Backed By A Gold

President Robert Mugabe’s administration, is reportedly sittings on wads of a new Zimbabwe currency to be backed by a gold standard, which can be issued at a moment’s notice as a home grown panacea to manage a dwindling economy, The Telescope News, has been told.ommunityvoiceradio.com/robert-mugabe-to-introduce-a-new-zimbabwe-currency-to-be-backed-by-a-gold/

I myself went ahead and purchased some . I figure if nothing happens to the zim yet the Dinar is Super Abundantly Prosperous . Who cares ? But these past gold backing articles plus China's deep investments make it awfully compelling . Hope this helps some Gixxer .

Thanks, might pick some up this weekend....gonna look into this more before I buy some though.

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Mr. Gerry Rice, Director of Communications at the International Monetary Fund (IMF) made the following statement on Zimbabwe:

“On October 20, 2016, Zimbabwe settled its overdue financial obligations to the Poverty Reduction and Growth Trust (PRGT) of the IMF. Zimbabwe had been in continuous arrears since 2001. To settle these obligations, which amounted to SDR 78.3 million (about US$107.9 million), Zimbabwe transferred part of its SDR holdings kept at the IMF to the PRGT account. Zimbabwe is now current on all its financial obligations to the IMF.”

PRESS STATEMENT ON THE INTRODUCTION OF BOND NOTES
The Reserve Bank of Zimbabwe is pleased to advise the nation of the introduction of bond notes with effect from Monday, 28 November 2016. The bond notes will be released into the market through normal banking channels in small denominations of $2 and $5 to fund export incentives of up to 5% which will be paid to exporters of goods and services and diaspora remittances. The initial release of bond notes shall be in an amount of $10 million in denominations of $2 and $2 million in $1 bond coins. The features of the bond notes will be released simultaneously with the bond notes.
The use of bond notes within the multi-currency exchange system which are anchored to the US$200 million facility will operate along the same lines as bond coins. They are pegged 1:1 to the US dollar. The banking public is advised that no new accounts will be opened as the bond notes would be deposited into existing US dollar accounts.
In line with the Bank’s thrust to promote a less cash society through the use of plastic money, withdrawal limits of bond notes have been set at a maximum of $50 per day and a maximum of $150 per week. This measure is in tandem with the objective of the Bank to release bond notes into the market on a measured basis which is critical to mitigate against abuse of bond notes.
The Reserve Bank has engaged and agreed with the Retailers Association of Zimbabwe, fuel companies, representatives of the various business associations and the Consumer Council of Zimbabwe on the use and acceptability of bond notes as a medium of exchange in the country.
The Reserve Bank would like to request the public to report any form of malpractice and abuse of bond notes including but not limited to hoarding, defacing, disfiguring or unlawful use of notes and manipulation by person or banks or currency dealers or traders in connection with the use of bond notes.
Such malpractices should be reported to the Reserve Bank of Zimbabwe on toll free numbers Telone – 08006009 and Econet – 08086770.
Reserve Bank of Zimbabwe 26 November 2016

PRESS STATEMENT ON THE INTRODUCTION OF BOND NOTES
The Reserve Bank of Zimbabwe is pleased to advise the nation of the introduction of bond notes with effect from Monday, 28 November 2016. The bond notes will be released into the market through normal banking channels in small denominations of $2 and $5 to fund export incentives of up to 5% which will be paid to exporters of goods and services and diaspora remittances. The initial release of bond notes shall be in an amount of $10 million in denominations of $2 and $2 million in $1 bond coins. The features of the bond notes will be released simultaneously with the bond notes.
The use of bond notes within the multi-currency exchange system which are anchored to the US$200 million facility will operate along the same lines as bond coins. They are pegged 1:1 to the US dollar. The banking public is advised that no new accounts will be opened as the bond notes would be deposited into existing US dollar accounts.

What I still don't get is, what gonna' with the current Zims with the ones with those crazy zeroes on them?

I still don't understand yet if this one will be worth it, as it appears as the new currency to be printed will already be expensive and already at 1:1 pegged at USD. Am I missing something here?

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What I find most interesting and without confusion . This is yet another country currently going through a monetary reform at this time . All very interesting . I look for similarities . India has taken 500 and 1000 rupee notes out of circulation and introduced 500 and 2000 rupees with a step towards a more cashless society , Zimbabwe seems to be doing the same . What will happen to the older currency . If indeed it has not already happened . Should be revealed to us very soon . If not already .

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What I find most interesting and without confusion . This is yet another country currently going through a monetary reform at this time . All very interesting . I look for similarities . India has taken 500 and 1000 rupee notes out of circulation and introduced 500 and 2000 rupees with a step towards a more cashless society , Zimbabwe seems to be doing the same . What will happen to the older currency . If indeed it has not already happened . Should be revealed to us very soon . If not already .

Umm...ok. I would really hate to lose out on this if it is a good opportunity.....but you have a point, other countries appears too indeed to be following suit......

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Govt moots resurrecting Zimdollar: VP

-July 28, 2017

Vice-President Emmerson Mnangagwa has revealed that the defunct Zimbabwean dollar could soon be resurrected, as the government is gradually piling up gold and diamond reserves to back it up since they cannot print the United States dollar, which is running short on the market.

By Tatenda Chitagu

Mnangagwa also revealed that next year’s elections were likely to be held in June or July.

Addressing a district constitutional advocacy meeting in Chiredzi yesterday and a rally afterwards at Tshovani Stadium, Mnangagwa, who is also in charge of the Justice ministry, said the government was facing a headache over the US dollar.

“The problem we have is that, as a country, we cannot print the US dollar,” he said.

“It’s a reserve currency for most countries and it’s on demand worldwide.

“We could have printed our money and injected it into circulation, but at the moment, there is nothing we can do.

“We only get forex from trading, bilateral agreements, Diaspora remittances and non-governmental organisations that come in, among others. Otherwise we cannot print the US dollar.”

Mnangagwa admitted that even the promotion of plastic money was inadequate, as there were areas where there were no swipe machines and other services could not be swiped for.

“There are some areas without swipe machines and there are other services that may require hard cash at hand.

“We are building gold and diamond reserves and, when we reach to a level we want, we will re-introduce the Zimbabwean dollar.

“It was killed by the whites after they got frustrated by the land reform programme.

“And when we adopted the US dollar, they again thought of a way to sabotage us so that you would rise against the government, but you understood that this is your country and it will remain yours whether it’s cold or hot.”

Mnangagwa hinted that elections would be held in June or July, as speculation mounts that President Robert Mugabe could spring an early polls surprise on Zimbabweans.
“Next year, we are going to have elections maybe in June or July, somewhere there,” he said.

“Voting will be polling station-based.

“We have got the two-thirds majority (in Parliament) to enact laws we want, just like when we passed the Chief Justice Amendment Bill.”

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Harare - Vice PresidentEmmerson Mnangagwasays the cash-strapped Zimbabwe government is piling up reserves of gold and diamonds to back a new local currency.

But he did not say when the new currency would be introduced.

In November 2016 the central bank introduced "bond notes", bank notes which are tradeable only in Zimbabwe and have no value outside its borders.

Bond notes in short supply

But the bond notes, like the forex Zimbabwe has depended on since the worthless Zimbabwe dollar was abandoned in 2009, are in critically short supply.

“We are building up reserves of gold and diamonds which if they reach a certain level… will then allow us to introduce our own currency that will be backed by those minerals,” Mnangagwa said.

“I am not at liberty to disclose to you the level that we want those minerals to reach before they can back our own currency,” he said, in comments carried Friday by the state-run Herald.

Mining in protected areas

The revelation comes amid reports the government had extended its quest for precious minerals into previously protected areas, including national parks.

Mnangagwa was addressing a meeting in the south-eastern cane-growing town of Chiredzi, where he was questioned on the currency shortages, said the Herald.

Mnangagwa said the only the forex the country was getting was from exports, NGOs, loans, or foreign investment.

Equipment from Belaras

The Zimbabwe government recently bought equipment from Belarus to excavate conglomerate diamonds in Chiadzwa, in the east of the country, and says it will lift protection status on a million acres of land to boost gold mining by artisanal miners.

The news has alarmed environmentalists as even national parks could be targeted. The Chimanimani Tourist Association said onFacebookit had been told by the environment minister that the stunningly beautiful Chimanimani National Park in the east of the country would not be spared. It said it was working with Tourism Minister Walter Mzembi and local chiefs to keep the mountains protected.

Boy, am I tired of that statement. I’m tired of us reminiscing on the good old days. At least now thankfully, I won’t have to continuously endure the “lest we forget” statement that always used to be thrown at us each time some kinda propaganda needed to be pushed.

So, the US government has encouraged Zimbabwe to have its own currency rather than rely on the USD. Not only has it encouraged the government to do so, but it has promised to help out through the process as well.

Of course USA has a point there, depending on other countries’ currencies isn’t ideal. However, the migrating to our own currency talk isn’t something totally out of the box because it was already a part of Mr President’s plans. In fact, Hon Mnangagwa spoke about that when he was still the Vice President, but now that he runs the show, excuses should be minimal.

Some might argue that getting our own currency now would be moving too fast, Zimbabwe isn’t ready yet; but the question is when will it be? It takes a bird to jump out the nest for it to learn how to fly. I know we’ve been that bird that flew too high at some point, lost balance and came crushing right into the ground… twice! So at this point, traumatic is what seems to best describe the experience and that could be the potential setback.

The economy is about trust and confidence and clearly that’s something we couldn’t afford a few months back, oh last month actually (already feels like ages back). But.. since the coup-not-coup happened, people’s hopes have been somewhat restored and the government should take advantage of this.

A few weeks back, Techzim wrote on how the ‘new’ minister of Finance and Economic Planning admitted to how the then government was responsible for the economic situation we are in. He mentioned how they had churned more ‘money’ into the system by simply adding non-existent figures into the RTGS system. A “fiat of a fiat” is what it was described as.

As naive as this is going to sound, I actually think that’s a good sign. Coming out clean on such a big matter isn’t something you’d just randomly do. To me, that indicates the desire to change. It also exposed the (hopefully) old tactics which probably means that they now cannot be practiced again since they’re now out in the open. But then again, this is Zimbabwe we are talking about, obvious things aren’t so obvious…

Anyway,let’s hear your thoughts: what do you think? Should we drop the USD now and start working our own currency???

Zimbabwe

The Republic of Zimbabwe is a country located in the Southern Africa region. Its capital city is :Harare and the country has 10 provinces. Zimbabwe is 390,580 sq km and is bordered on all sides by other countries (Zambia in the north, South Africa in... Read More About Zimbabwe

Zim’s gold plan slated

Plans by the Harare administration to use gold reserves to anchor the reintroduction of the much-derided Zim dollar have caused concern.

The move comes as the country battles severe, and worsening, shortages of both the surrogate currency - the bond notes - and US dollars, amid fears the dying economy is hurtling towards the lows of 2008 when Zimbabweans became “multi-billionaires” but pitifully poor overnight.

Zimbabwe ditched its worthless currency and switched to the multiple currency system in 2009.

The announcement also came as economists warned Zimbabwe’s average income levels were at their lowest in more than 60 years, with 76% of the population living below the poverty line. In addition, the country’s sovereign ratings have plummeted shockingly. Zimbabwe was classified recently as the poorest country in Africa, amid company closures and high levels of unemployment.

In last week’s surprise announcement, state media quoted mining minister Walter Chidakwa as saying the government was working on “a plan to establish a gold reserve set to anchor the introduction of a local currency”, which would see the resurrection of the Zimbabwean dollar. The plan, being modelled around the $200 million African Export-Import Bank facility, which backs bond notes - and whose legal processes were already said to be before parliament - was aimed at mitigating the country’s acute liquidity and cash crunch.

“Naturally, in order to support the future introduction of our own currency, you want to have mineral resources that you hold in reserve.

“We have discussed this matter with the Reserve Bank of Zimbabwe and because most of the gold that is currently held is in private hands, we need to get our own companies operating,” Chidakwa said.

This was despite reserve bank governor John Mangudya having said market conditions would not be right for the return of the Zim dollar any time soon.

Former finance minister, Tendai Biti said: “These zombies, devoid of reasoning, want to introduce toilet paper as money just to save their necks. But the conducive economic fundamentals are lacking.

“Firstly, it is beyond absurd to think you can build $2 billion in gold reserves in this country (as the government has suggested)."

Opposition leader Morgan Tsvangirai’s MDC also warned against rushing the Zim dollar back into the market.

“The Zanu-PF regime is a renegade outfit that is capable of doing anything hence the bankrupt plans to bring back the Zimbabwe dollar.

“Remember, the national economy is comatose and Mugabe and his Zanu-PF regime are only concerned about holding onto power," MDC spokesperson Obert Gutu said. "These people don’t give a damn about the suffering of the majority of Zimbabweans.”

RBZ governor John Mangudya has announced revealing 16 categories of illegally expatriated forex:

Illegally Expatriated Foreign Exchange and Assets

Illegally expatriated foreign exchange and assets should be declared to the Bank or the affected person’s bankers on “a no questions asked” basis.

An application for amnesty should be filed with the Bank or through the affected person’s bankers and such application will be treated with confidentiality. The Application form is obtainable upon request from the Bank’s Exchange Control Department or any authorised dealer.

For the avoidance of doubt, the foreign exchange or assets to be repatriated under the amnesty includes foreign exchange or assets obtained from Zimbabwe and expatriated through acts or omissions such as: –

(a) Export of any currency above permissible
thresholds;
(b) Smuggling of gold and other precious stones;
(c) Non-repatriation of export proceeds due to the country;
(d) Undervaluation of exports and overvaluation of imports and retention of the funds offshore;
(e) Trade misinvoicing by importers to evade customs duties, VAT, or income taxes;
(f) Non-return of temporary exports and disguised exports of samples;
(g) Payments for imports of goods and services whose corresponding value has not been received into the country;
(h) Remittance of funds used for investments offshore without Exchange Control approval;
(i) Offshore retention of funds realised from sale of local assets e.g. shares in local companies to foreign residents;
(j) Offshore retention of investment income such as dividends, profits and management fees due to the country;
(k) Remittance of funds for repayment of fictitious offshore loans;
(I) Management fees and technical fees;
(m) Settlement of purchase prices offshore, for an immovable property situated in Zimbabwe;
(n) Operation of illegal offshore bank accounts by individuals and companies funded from Zimbabwe;
(o) Offshore retention of sale proceeds realised from smuggled goods or minerals; and
(p) Any unauthorised offshore retention of funds without Exchange Control approval.
Dr JP Mangudya
Governor

Trump Tells Mnangagwa To Stop Using US$

The Donald Trump administration said Zimbabwe should get its own currency and stop relying on the United States Dollar.

Donald Trump

The US government said that having its own currency will allow Zimbabwe to control its own finances and to be dependent on outside countries.

The US also indicated that it was willing to work with President Emmerson Mnangagwa’s new government.

“ As you know, the United States and other countries do have sanctions on Zimbabwe. Even though we have provided US$220 million this year in assistance levels it’s going to commo=unity based groups. What we want to do is we want to open and expand this opportunity because again, you know, Zimbabwe was an economic great country in the past, it was the breadbasket of the south,” US’s Acting Assistant Secretary for African Affairs Don Yamamoto told The Independent.

“Today it imports food, its financial institutions are not in great shape. They have to go to the US dollar. That’s good and bad. I mean it stabilizes, but it’s bad because Zimbabwe should have control of its own finances. It shouldn’t be dependent on the United States or outside. And those are some of the reforms that we recognise need to be done immediately in short term,”said the western diplomat.

This news is likely to be welcomed by President Emmerson Mnangagwa’s government which has been saying that Zimbabwe needs to reintroduce its own currency in order to control its own monetary policy.

Zimbabwe dumped its own currency in 2009 after the Zimbabwe Dollar became virtually useless after being ravaged by hyperinflation.

The government then introduced a multicurrency system in which most currencies can be used, but the United States dollar proved to be the overwhelmingly popular choice and has become the defacto currency in use.